The Economy Grows!
Today’s ONS figures show that the economy has grown by 1%.
This is good news. We’ve waited a long time to see growth in the economy.
It has to show there are some things going right with the current economic strategy since unemployment is down, inflation is down, deficit down.
The debt however is still rising but its supposed to keep rising. The government is only trying to get eliminate the structural deficit.
I hope like me, you enjoyed Andrew Neil defeating Ed Balls on today’s Daily Politics. Ed B was trying to reconcile his comments when he said he didn’t believe there to be a structural deficit before the recession when we can now see that is complete and utter balls.
Perhaps, like me you’d enjoy casting your eye over this article on Touchstone blog pointing out that policymakers and governments shouldn’t focus on the structural deficit, noticing how difficult it is to estimate the output gap and therefore the structural deficit.
That being said, we clearly can’t go on spending loads of money we simply don’t have but perhaps we need a new approach to how we tackle the economy.
But let’s be clear, lets all for the moment revel in the fact that the economy grew by 1% in quarter 3. We are now out of recession.